ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, September 28, 1994                   TAG: 9409280045
SECTION: CURRENT                    PAGE: NRV-7   EDITION: NEW RIVER VALLEY 
SOURCE: RICK LINDQUIST STAFF WRITER
DATELINE: RADFORD                                 LENGTH: Medium


RADFORD WATER RATES MAY RISE AGAIN

City water customers could see another jump in rates, if City Council decides to pay for an estimated $2 million in water plant repairs through a revenue bond issue. Council tilted in that direction Monday, voting 4-1 vote to ask City Manager Robert Asbury to report back on the full implications of water revenue bond financing.

Revenues from the city's water fund would be used to pay down the debt, Asbury explained, calling the method "the most responsible way to go about it," and "the least expensive in the long term." City water rates went up an average of 42 percent on July 1, primarily to cover the costs of required water system maintenance.

Mayor Tom Starnes voted against Councilman David Worrell's motion to have Asbury prepare the report. Starnes suggested the city pay for the most important repairs - most of which involve health and safety improvements - from the current budget and consider revenue bonds later to pay for the rest of the work.

But Asbury warned the pay-as-you-go approach was too risky, especially if additional problems arose at the water plant. "That gets you into crisis management," he said.

Earlier this year, the city called in a consulting engineering firm to estimate the costs of fixing the water plant's filtration system, work originally put at $300,000. The estimate skyrocketed to the $2 million figure after the consultants uncovered other deficiencies at the plant.

Asbury said revenues from anticipated water sales to Montgomery County in the Route 177 Corridor "would certainly help" but would not offset the cost of repaying the bonds.

In other business, Development Director David Ridpath briefed council on the status of the Ingles Ferry historical recreation project and conceded there are questions about whether a working pedestrian ferry across the New River will be realistic, much less affordable.

By the time the city gets done with the planning and design phase, most of the $162,000 in grant money will be gone. Ridpath told council that the lion's share of the federal Intermodal Surface Transportation Enhancement Act money is earmarked to develop the concept design, restore Wilderness Road, develop the educational program, verify historical resources, do landscaping and construct interpretive signs and kiosks.

The rest of the money - $39,000 - would go toward rehabilitating bridge abutments on the Radford and Pulaski County sides of the river, restoring the Ingles Tavern site on the Pulaski County side and recreating a working pedestrian ferry.

Ridpath said Tuesday there's probably enough money to build the ferry, but liability insurance costs to actually run it could keep the vessel moored to its slip.

Construction begins next spring, but the project won't be completed until "sometime in 1996," Ridpath said. Because of administrative delays, the project is eight months behind schedule.

Council took no action on a proposal from Police Chief A.C. Earles to set up an overtime account to pay police officers who volunteer for vehicle decal enforcement duty.

Earles' recommendation - which Asbury characterized Monday as "strictly a reactive proposal" - had come in response to council's earlier request for a crusade to enhance compliance with the city's decal law.

Asbury reported that the city had issued more than 8,000 vehicle decals this year. "The sale of tags is at an all-time high," he said. "Obviously the word is getting out."

To get a better handle on decal compliance rates, city officials are working to match up Division of Motor Vehicle computer records against city taxpayer records, he said.



 by CNB